What is Earned Value?

Earned Value (EV) is a Project Management tool

The concept has been around for ages (officially, since the late 60's) & has these key principals:

  • Establish a project's cost & schedule baseline
  • Track a project from inception through completion
  • Measure progress using standard techniques
  • Track changes to the project baseline
  • Compare baseline budget, earned value, and actual costs for:
    • The current period
    • Cumulative to date
    • At completion
  • Analyze cost & schedule variances, then take corrective actions